Tullow Oil (LON:TLW) has agreed a substantial farm-down of its assets in Uganda to Total E&P Uganda.
A sale and purchase agreement with an effective date of 1 January has been signed in which Tullow has agreed to transfer 21.57% of its 33.33% interests in Exploration Areas 1, 1A, 2 and 3A in Uganda to Total for a total consideration of $900 million.
This agreement will allow Tullow to retain an 11.76% interest in the upstream and pipeline, which would reduce to 10% when the government of Uganda formally exercises its right to back-in.
This agreement is based on the transfer of licence interests from Tullow to Total in exchange for cash and deferred consideration to be paid as and when the Lake Albert Development Project reaches a series of key milestones and represents a reimbursement by Total of a portion of Tullow's past exploration and development cost.
The total consideration for the transaction is structured as follows:
- $200 million in cash consisting of $100 million on completion of the transaction and $50 million at both Final Investment Decision and First Oil.
- $700 million in deferred consideration which will be used by Tullow to fund the company's share of the costs of the upstream development project and the associated export pipeline project.
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Chariot Oil & Gas (LON:CHAR) says the farm-out signed between its wholly owned subsidiary, Chariot Oil & Gas Investments (Morocco) Ltd, and a wholly owned subsidiary of Eni, has now been approved for the Rabat Deep Offshore permits I-VI by the Moroccan authorities.
As a result of this approval, operatorship of these permits has been transferred to Eni.
The licence ownership is now as follows: Eni (operator, 40% equity interest), Woodside (25% equity interest), Chariot (10% equity interest) and Office National des Hydrocarbures et des Mines (25% carried interest).
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Aminex (LON:AEX) has issued an update on the company's drilling activity in the Ruvuma Basin, Tanzania, where the Ntorya-2 appraisal well was spudded on 21 December, with a planned total depth of 2,860 metres.
Drilling status and schedule:
- On 5 January the 17-inch hole section was cased and cemented to a depth of 1,326 metres.
- Drilling recommenced on 7 January in the 12-inch section which will be cased and cemented at 2,095 metres.
- Following this an 8.5-inch section is planned through the target Cretaceous formation to an estimated total depth of 2,860 metres.
- A 7-inch cemented liner is then expected to be set and a detailed analysis of the well data conducted prior to potential testing. This vertical well is targeting the same sandstone channel complex as the Ntorya-1 discovery which flow-tested gas at 20 mmcf/d, with 139 barrels of associated condensate, from a 3.5-metre sand interval.
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Management Resource Solutions (LON:MRS) said that, on Jan. 6, 2017, it received a requisition of a general meeting from Pershing Nominees on behalf of SCOPN Pty Ltd, a company controlled by the former CEO, Paul Morffew.
The requisition requires that the Company put to shareholders resolutions to:
- Amend the Company's articles of association so that there shall be no less than 2 and no more than 5 directors, unless otherwise authorised by shareholders, and that all directors must stand for re-election at every general meeting or annual general meeting of the Company; and
- Appoint two new directors nominated by SCOPN to the board with immediate effect.
A circular to shareholders convening this general meeting, containing full details of the resolutions proposed by Mr Morffew and the directors' recommendation in respect of them, will be published in due course.
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Solo Oil (LON:SOLO) has provided an update on the progress of the Ntorya-2 appraisal well in Tanzania. The vertical Ntorya-2 appraisal well, operated by Aminex, was spudded on Dec. 21, 2016, and has a planned total depth of 2860 metres.
Aminex has provided the following update:
- The 17-inch hole section was successfully cased and cemented to a depth of 1,326 metres on 5 January 2017.
- The well is currently drilling in the 12-inch hole section which commenced on 7 January 2017 and is planned to reach a depth of 2,095 metres, and will then be cased and cemented.
- The well is then planned to be drilled in a 8-1/2-inch hole section through the target Cretaceous formation to an estimated final depth of 2,860 metres. A 7-inch cemented liner is planned and detailed analysis of the well data will be conducted.
- Once a permanent completion has been set the well is expected to be flow tested.
"This well is targeting the same sandstone channel complex as the Ntorya-1 discovery which flow-tested gas at 20 million cubic feet per day, with 139 barrels of associated condensate, from a 3.5-metre sandstone interval."
The Company has a 25% non-operating interest in the well.
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Global Petroleum (LON:GBP) has appointed Cantor Fitzgerald Europe to act as nominated adviser and joint broker with immediate effect.
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Amerisur Resources (LON:AMER) reports a good result at Platanillo-24, the second of its planned infill wells in Colombia.
Amerisur says Platanillo 24 has been drilled under time and under budget, to a total depth (TD) of 8,485ft measured depth (MD), achieving an offset of 1,275 ft to the east of Platform 3N.
This well was designed as an infill well on the most northern developed lobe of the Platanillo field, located between wells Platanillo 7 and 17. The reservoir section was logged and initial log analysis indicated the presence of 67.5ft gross, 38ft net oil column in the U sand formation.
The analysis of T sand indicates a 14ft gross and 8ft net oil column. The N sand was not well developed at this location, in line with the Company's seismic attributes model. The well is currently being completed for commercial production from the U sand and it is expected to produce into the Pad 3N facilities.
Subject to resolution of local social protests, the company plans to mobilise the Serinco Rig D-10 to Pad 2N, in order to drill Platanillo 22, the first appraisal well from Pad 2N, the furthest north Pad on the Platanillo block.
Chief executive John Wardle said: "Platanillo 24 is a good result, the second of our planned infill wells. The well was drilled to TD in just over 15 days at a cost of under US$2M. I look forward to successfully initiating production from the U sand."
(LON:AEX) Aminex PLC share price was 0p at 2.23p
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(LON:BOR) Borders Southern Petroleum PLC share price was +0.13p at 3.33p
(LON:CHAR) Chariot Oil Gas Ltd share price was +0.08p at 8.7p
(LON:ENQ) EnQuest Plc share price was -1.62p at 53.38p
(LON:GKP) Gulf Keystone Petroleum share price was -1.12p at 138.88p
(LON:GPX) Gulfsands Petroleum PLC share price was +0.38p at 10.63p
(LON:INDI) Indus Gas Ltd share price was 0p at 395p
(LON:PET) Petrel Resources PLC share price was -0.13p at 5.88p
(LON:RKH) Rockhopper Exploration PLC share price was +1.5p at 24.75p
(LON:RPT) Regal Petroleum PLC share price was -0.25p at 3p
(LON:SOLO) Solo Oil PLC share price was +0.01p at 0.33p
(LON:TLW) Tullow Oil PLC share price was +17.15p at 341.85p